Economics, Real Estate and the Supply of Land

by Evans, Alan W.

• ISBN13: 9781405118620
• ISBN10: 1405118628
• Edition: 1st
• Format: Paperback
• Copyright: 2004-08-06
• Publisher: Wiley-Blackwell

Summary

The economic literature relating to the supply of land is drawn together here with the book covering the supply of land for urban development. It shows how land has characteristics differentiating it from other factors of production which will also affect its supply for some uses.

Author Biography

Alan Evans, Professor of Environmental Economics, Centre for Spatial and Real Estate Economics, School of Business, University of Reading

Table of Contents

Preface	xiii
1 Introduction: The Market for Land and Property	1	(10)
The supply of land	1	(3)
The demand for land	4	(3)
The development of a theory of the supply of land	7	(4)
2 Land Values, Rents and Demand	11	(20)
Introduction	11	(1)
Ricardian rent theory	12	(1)
Neoclassical rent theory	13	(3)
Ricardian theory remembered	16	(1)
Planning controls and rent theory	17	(4)
Hierarchical planning systems	21	(2)
Urban rent theory	23	(2)
Rents, economic and commercial	25	(3)
Summary and conclusion	28	(3)
3 Coping with Changes in Demand	31	(16)
Introduction	31	(1)
The extensive margins	32	(2)
The intensive margin	34	(4)
Capital longevity and the asymmetry of change	38	(1)
The process of change in the housing market	39	(6)
Summary and conclusions	45	(2)
4 How Efficient is the Property Market?	47	(14)
Introduction	47	(1)
The economic concept of efficiency	48	(1)
Efficient markets	48	(4)
The evidence	52	(2)
Tests of market efficiency	54	(6)
Conclusions	60	(1)
5 Market Inefficiency: Causes and Consequences	61	(16)
Introduction	61	(1)
Why the property market is imperfect and inefficient	61	(3)
Price determination and the theory of the core	64	(3)
The consequences	67	(8)
Conclusions	75	(2)
6 The Supply of Land for a Particular Use: Speculation and Uncertainty	77	(12)
Introduction	77	(1)
Speculation	78	(6)
Uncertainty	84	(3)
Summary and conclusions	87	(2)
7 The Supply of Land for a Particular Use: Occupier Performances and Residential Attachment	89	(10)
Introduction	89	(1)
Owner occupier attachment	89	(6)
Some empirical evidence	95	(2)
Summary and conclusions	97	(2)
8 The Ownership of Land and Change in its Use	99	(16)
Introduction	99	(1)
Tenants, owner occupiers and the supply of land	100	(5)
Ownership and change	105	(7)
Summary and conclusions	112	(3)
9 Land Ownership, Politics and Society	115	(12)
Introduction	115	(1)
Society and the ownership of land	115	(2)
Alternative forms of ownership and tenancy	117	(5)
A libertarian view	122	(3)
Summary	125	(2)
10 Ownership and Control: Monopoly	127	(10)
Introduction	127	(1)
Monopoly rents and wine production	127	(3)
Monopoly rents and shopping centres	130	(4)
Summary and conclusions	134	(3)
11 Ownership and Control: Minimum Rents	137	(12)
Introduction	137	(1)
Minimum rents	138	(5)
Minimum rents in an urban environment	143	(5)
Summary and conclusions	148	(1)
12 Information, Uncertainty and the Property Market	149	(20)
Introduction	149	(2)
Modelling the search for information	151	(2)
Information, search and the property market	153	(5)
Searching for housing in practice	158	(4)
The housing market	162	(3)
The developer and land supply restrictions	165	(2)
Summary and conclusions	167	(2)
13 Land Availability and Land Banking	169	(18)
Introduction	169	(1)
Land availability	170	(5)
Land banking by private firms	175	(6)
Public land banking	181	(4)
Summary and conclusions	185	(2)
14 Contiguity: Site Assembly	187	(10)
Introduction	187	(1)
A game theory approach	188	(4)
A question of time	192	(2)
Conclusion	194	(3)
15 Contiguity: Compulsory Purchase and the Scale of Development	197	(14)
Introduction	197	(1)
Compulsory purchase and the speed of acquisition	198	(6)
Scale economies, acquisition costs and history	204	(4)
Summary and conclusion	208	(3)
16 Contiguity: Land Reallocation and the Price of Land	211	(8)
Introduction	211	(1)
Land reallocation and adjustment	211	(4)
Size of site and the price of land	215	(2)
Summary and conclusions	217	(2)
17 The Taxation of Land and Development Gains	219	(14)
Introduction	219	(1)
The undeserving landowner	220	(3)
Betterment	223	(2)
Economic theory and taxes on development	225	(3)
Land taxation in recent British history	228	(3)
Summary and conclusions	231	(2)
18 Annual Taxation and the Nationalisation of Land	233	(12)
Introduction	233	(1)
Property taxes and the rates	234	(2)
Site value taxation	236	(2)
Land nationalisation	238	(4)
Summary and conclusions	242	(3)
19 Conclusion: Themes and Changes in Perception	245	(4)
Recapitulation	245	(2)
Coda	247	(2)
References	249	(7)
Index	256